W hat happens to renters the property they live in is going being foreclosed on?
About 45% of properties going through foreclosure in Minneapolis and St. Paul are rental properties. By law tenants do have six months to leave in a foreclosure situations. Tenants are not always being notified and are ending up with out a place to live.
Rental property owners who are going through foreclosure don’t always pay the utilities or make needed repairs leaving tenants in the dark. Some renters are ending up in homeless shelters. Yes we do have homelessness nation wide and even in Minnesota.
After recently touring some of these properties in St. Paul and Minneapolis I can say that it is not a pretty sight. This problem has been in the news but is just not getting enough attention. Read Minnesota public radios report.
You bring up a serious point that has either gone unnoticed or just not though about much. We tend to focus on the unfortunate homeowner who got duped by a mortgage company/agent or the unfortunate financial circumstances of the homeowner who is losing their home. Investors who become slum lords and don’t have the decency to forewarn the tenants should be flogged. Not all tenants are bad and I feel for the children.
A darn shame this has to be discussed. But I assume that the landlord is in denial and/or doesn’t want to let the monthly income check stop before the bank finally takes reassignment of the rent.
Note to all tenants, once your rent has been reassigned…start looking!
Chris – you are probably right. the landords are in denial and some just don’t care.